Friday, January 9, 2009

Satyam may taste sub-Rs 20 levels: Says Analysts

Shares of Satyam Computer is likely to continue with its free fall in the morning trade on the bourses on Friday, analysts said, adding the scrip may also taste the sub-Rs 20 levels, analysts say.
"The stock is likely to get battered further as most of the leading brokerage houses have reiterated their earlier stance on the company with 'sell' recommendation. Some even withdrawing their coverage," Religare Hichens, Harrison said its research report.

"The stock is likely to get battered further as most of the leading brokerage houses have reiterated their earlier stance on the company with 'sell' recommendation. Some even withdrawing their coverage," Religare Hichens, Harrison said its research report.

Marketmen said the fundamentals of the company have been shaken completely and the malpractices in the financial disclosures have shattered investor confidence.

"Book value post recent disclosure could be potentially negative. Do not rule out stock falling to sub Rs 20 levels," brokerage firm Emkay Research said in its report on Satyam.

"There is no fundamental in the company. The movements in the scrip will be more of a technical in nature and investors should wait for more clarity," said SMC Global Vice-President Rajesh Jain said.

"Considering the fact neither revenues nor profits are reliable facts of the company we are discontinuing our fundamental target price on the company. In short term we will see lot of Satyams clients migrating to competition like Infosys, TCS and Wipro," Religare added.

allvoices

No comments: